Scenario: Calculate the current ratio and quick ratio for Amazon.com, Inc. using the information from its balance sheet as of December 31st, 2023. Also, provide an interpretation of the ratios in terms of the company's liquidity position.

Assets	Amount (USD)
Cash and cash equivalents	$30,000,000
Accounts receivable	$40,000,000
Inventory	$50,000,000
Prepaid expenses	$10,000,000
Total Current Assets	$130,000,000
Property, plant, and equipment	$400,000,000
Total Assets	$530,000,000

Liabilities	Amount (USD)
Accounts payable	$60,000,000
Notes payable	$50,000,000
Accrued expenses	$20,000,000
Total Current Liabilities	$130,000,000
Long-term debt	$150,000,000
Total Liabilities	$280,000,000
Shareholders' Equity	$250,000,000
Total Liabilities and Equity	$530,000,000
Current Ratio	1.00
Quick Ratio	0.93
Interpretation	The current ratio of 1.00 indicates that Amazon.com, Inc. has $1 in current assets for every $1 in current liabilities, which is an acceptable liquidity position. The quick ratio of 0.93 shows that the company has slightly less than $1 in highly liquid assets for every $1 in current liabilities, suggesting a somewhat tight liquidity position, but still generally acceptable.

1. Scenario: Tesla, Inc. is a leading electric vehicle manufacturer preparing its balance sheet as of December 31st, 2023.

Requirements:

1. 
   
   • Categorize the following items as either current assets, non-current assets, current liabilities, or non-current liabilities.
   • Provide the amounts for each category.
   • Calculate the total assets, total liabilities, and shareholders' equity.
   • Compute the debt-to-equity ratio.
   • Interpret the debt-to-equity ratio in terms of Tesla's financial leverage.

Items	Category	Amount (USD)
Cash and cash equivalents	Current Assets	$10,000,000
Accounts receivable	Current Assets	$5,000,000
Inventory	Current Assets	$8,000,000
Property, plant, and equipment	Non-current Assets	$50,000,000
Investments	Non-current Assets	$30,000,000
Accounts payable	Current Liabilities	$7,000,000
Notes payable	Current Liabilities	$3,000,000
Accrued expenses	Current Liabilities	$4,000,000
Long-term debt	Non-current Liabilities	$40,000,000
Total		$139,000,000